Patriot Battery Metals Inc’s shares soar 20%; Canaccord analysts highlight high-grade lithium drill intercept

Patriot Battery Metals Inc (TSX-V:PMET, OTCQB:PMETF)’s market value rose by over 20% today after it announced the assay results of 14 additional holes, completed as part of its drill campaign at the highly prospective Corvette property.

In a note following the update, analysts at Canaccord highlighted hole CV22-083 in particular, which intersected a 156.9m interval of 2.12% Li2O, including 25.0m of 5.04% Li2O which it said was the widest, highest-grade lithium drill intercept reported to date at the CV5 pegmatite.

The hole was drilled at the eastern side of CV5 and is interpreted to have intersected part of a larger, high-grade zone that has been defined over a strike length of at least 250m, as confirmed by assay (holes CV22-017 to 083), the broker explained.

READ: Patriot Battery Metals stands out amongst its peers as Canadian lithium investment opportunity, analysts say

“We look forward to follow-up drilling in this area in early 2023 that will test the extension of the high-grade zone to the east and at depth,” analysts wrote.

“We continue to believe that Patriot is well on its way to delineating what could become one of the largest lithium hard discoveries in Canada,” the analysts continued.

It suggested that a previous estimated mineral resource of around 100 million tons at 1.15% Li2O is likely to be conservative.

Canaccord pointed out that at CV5 alone, mineralization has already been defined over a strike length of at least 2,200m and remains open along strike at both ends.

Looking ahead, the broker pointed out last week the winter phase of the 2023 drill campaign commenced on site.

“This portion of the program is targeting a minimum of 20,000m of drilling between January and April utilizing at least five drill rigs, making it one of the largest lithium drill programs in Quebec in recent history,” Canaccord said.

The objectives of this program include extending the 2,200m strike length of the CV5 pegmatite to the east, as well as infill drilling intended to support the definition of an indicated mineral resource estimate with management currently targeting the release of a maiden mineral resource in the first half of 2023, analysts wrote.

Canaccord reiterated a ‘Speculative Buy’ rating and C$9.75 price target.

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